HONG KONG: The Hong Kong Airport Authority has raised US $ 4 billion to finance the development of its third runway under a four-tranche US dollar debt deal, according to a terms sheet viewed by Reuters, as the city grapples with increasing flight bans and cancellations.
He raised US $ 1 billion in a five-year green bond tranche, US $ 1.2 billion 10-year, US $ 1.2 billion 30-year and US $ 600 million 40-year, according to the term sheet.
Airport Authority Hong Kong did not immediately respond to a request for comment from Reuters.
Final prices were set for US Treasuries plus 42.5 basis points for the 5-year tranche, 80 basis points for the 10-year, 120 basis points for the 30-year and 140 basis points for the paper. at 40, according to the term drap.
Prices were between 30 and 37.5 basis points tighter than initial indications when the deal launched in Asia on Wednesday.
Fundraising was significantly more expensive for the airport today than when it raised $ 1.5 billion in ten- and 30-year debt in January of last year to 65 and 80 basis points at- above Treasury references.
Order books were open on Wednesday https://www.reuters.com/business/healthcare-pharmaceuticals/hong-kong-hunts-covid-patients-contacts-orders-cruise-ship-back-port-2022-01-05 when Hong Kong announced new two-week flight bans for eight countries, including the US, UK and Australia under ongoing border restrictions.
Hong Kong on Wednesday recorded 38 new cases of the coronavirus, all but one of which were caught under the hotel quarantine testing regime.
(Reporting by Scott Murdoch in Hong Kong; Editing by Muralikumar Anantharaman and Sam Holmes)